Net Income Per Share:

12 Months Ended

Sep. 30, 2015

4. Net Income Per Share:

	For the Fiscal Year Ended September 30,
	2015			2014		2013
Numerator:
Net income	$	(5,866,134	)	$	200,268	$	1,886,917
Denominator:
Basic weighted average shares	16,924,189			16,927,879		16,753,068
Dilutive effect of share-based awards	—			221,227		102,786

Diluted weighted average shares	16,924,189			17,149,106		16,855,854


Net income per common share:
Basic	$	(0.35	)	$	0.01	$	0.11

Diluted	$	(0.35	)	$	0.01	$	0.11

Net income per share is calculated pursuant to ASC Topic 260, Earnings per Share (“ASC Topic 260”). Basic earnings per share (“EPS”) excludes potentially dilutive securities and is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted EPS is computed assuming the conversion or exercise of all dilutive securities such as employee stock options.

The number of incremental shares from the assumed exercise of stock options is calculated by using the treasury stock method. As of September 30, 2015 and 2014, there were 645,168 and 687,168 options to purchase common stock outstanding, respectively. The average outstanding diluted shares calculation excludes options with an exercise price that exceeds the average market price of shares during the period. For fiscal 2015, all options to purchase common stock were excluded from the calculation of earnings per share as their effect would be anti-dilutive. For fiscal years 2014 and 2013, 55,666, and 445,472 options to purchase common stock, respectively, were excluded from the computation of diluted earnings per share because the effect would be anti-dilutive.